VanEck, a global investment firm managing over $115 billion in assets, has been a trailblazer in traditional and cryptocurrency investments. Founded in 1955 by John Van Eck, who launched the first gold fund in 1968, the firm has since expanded under the leadership of Jan Van Eck. Jan, the current CEO, has championed Bitcoin-focused products, solidifying the firm’s role in decentralized finance (DeFi).
As a vocal advocate for Bitcoin, Jan Van Eck views it as a hedge against inflation and a reliable store of value. He has consistently highlighted its potential for institutional adoption, even amidst regulatory challenges. During the Paris Blockchain Week 2024, Van Eck expressed optimism about a regulatory shift under Trump’s administration. He noted, “I’ve met with some of Trump’s officials like Brian Brauxton and CryptoDaddy, and they are very pro-crypto. It will be a very different regulatory regime.” Following the elections, Bitcoin reached an all-time high, aligning with Van Eck’s earlier predictions for 2024.
One of VanEck’s landmark contributions to cryptocurrency has been its persistence in launching Bitcoin ETFs. Starting in 2017, the firm faced regulatory resistance from the U.S. Securities and Exchange Commission (SEC). Despite setbacks, it achieved a breakthrough in 2021 with the launch of a Bitcoin futures-based ETF. This success paved the way for its spot Bitcoin ETF, approved on January 20, 2024. It marked a significant milestone in crypto investment accessibility.
Van Eck’s Prediction and Advised Investment Strategy
Despite a recent 11.74% drop in Bitcoin’s value—from an all-time high of $108,319 to $95,602 as of December 23, 2024—Jan Van Eck remains bullish. He predicts Bitcoin will reach $150,000 to $170,000 by 2025, bolstered by its 124.4% year-to-date uptrend. This uptrend far outpaces U.S. stocks and Gold (28.1%).
Jan’s Prediction also aligns with VanEck’s official predictions that the ongoing crypto bull market will peak in early 2025, with Bitcoin reaching $180,000 and Ethereum surpassing $6,000. Other notable cryptocurrencies, such as Solana and Sui, may also see significant gains, exceeding $500 and $10, respectively. After this peak, a 30% correction in Bitcoin is expected, with altcoins experiencing sharper drops of up to 60% during a summer consolidation phase. However, a recovery is projected in the fall, with major cryptocurrencies likely reclaiming previous highs by year-end. VanEck identifies sustained high funding rates exceeding 10% for over three months as a key indicator of market exuberance nearing its peak.
Looking ahead, Van Eck advises caution in U.S. equities, particularly large-cap stocks, citing inflation risks and economic uncertainty. Instead, he emphasizes diversifying into assets like Bitcoin and gold, which serve as robust hedges against fiscal instability. Gold has seen growing demand, driven by central bank purchases. Bitcoin gains traction as a decentralized store of value, particularly with its upcoming halving event. For a balanced portfolio in 2025, he recommends reducing U.S. stock exposure. He also suggests exploring alternatives like short-duration fixed income and international equities.
